Insertion of time of commencement of the policy on a particular date is perfectly in accordance with law

Last updated: 09 May 2023
Quick Summary
The Rajasthan High Court ruled that specifying the exact time of commencement for an insurance policy on a particular date is perfectly legal and does not violate any motor vehicle or insurance laws. This practice was established to prevent vehicle owners from obtaining insurance after an accident had already occurred, thereby defrauding the insurance company. The court affirmed that the time of policy commencement is a contractual agreement between the insurer and the insured.

Court :
Rajasthan High Court

Brief :
The insertion of time of commencement of the policy on a particular date is perfectly in accordance with law and it does not contravene any provisions either of the Motor Vehicles Act or the Insurance Act.,1938.

Citation :
UNITED INDIA INSURANCE COMPANY VS PEMA RAM AND ORS. 

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